Blue Cross Blue Shield Settlement FAQs

What is the amount of the cash settlement? $131,209,501 (plus any interest accrued since June 2007). The amount of payments to physicians will be determined by the number of physicians who submit valid claims by Oct. 19, 2007.

What is the payment formula? Cash payment formula is based upon the amount of payments received by physician from settling BCBS plans in payment for services during a 3-year period from 2004 to 2006 (or for any consecutive 3-year period from 1997 to 2006 if physician elects to submit payment records)

The formula for payments is as follows:

Physicians who received payments from settling BCBS plans of less than $5,000.00 will receive the base amount (again base amount will not be determined until the number of physicians who submit claims by Oct. 19, 2007 is calculated)

Physicians who received payments from settling BCBS plans of $5,000.00 to 49,999.99 will receive the base amount x 5.

Physicians who received payments from settling BCBS plans of $50,000.00 or more will receive the base amount x 10.

Can physicians elect to have their portion of the settlement fund go to a charitable organization? Yes, see page 4 of the settlement instructions ( PDF ), for a list of those organizations - the Texas Medical Association Foundation is listed. Only one charitable organization can be designated.

Opt Out request postmarked no later than Sept. 14, 2007 (can submit a written revocation of opt-out request by final settlement hearing date - Nov. 14, 2007)

Deadline to object to proposed settlement - Oct. 1, 2007

Deadline to submit completed and signed claim form to receive payment from fund - postmarked no later than Oct. 19, 2007

Final Fairness Hearing - Nov. 14, 2007

When will the Settlement money be distributed?

Once the calculations are finalized, an award confirmation postcard will be sent to all eligible claimants to confirm their award (such as how many physicians for each group, and how many shares). As claimants respond, the total share count will be changing; once the deadline for claimants to respond has passed, the exact calculation will be finalized to determine the share amounts. Once the share amounts are calculated, disbursements will move forward.

Unfortunately, a timeline for disbursements cannot be provided until right before the disbursements since there are appeals that have been filed and are unresolved. Once the judge has affirmed the Final Orders and Judgements after the appeals have been resolved, estimates for the final count and calculations will be provided.

If a physician was active during the 2003-2006 period and retired in 2007, must he still file as a retired doctor under the settlement? If the physician was retired as of May 31, 2007 (the preliminary approval date) then he must file as retired physician.

Contact phone numbers for questions about the settlement fund, the charitable organizations, or about the procedure for filing a claim: Settlement Administrator (877) 893-2643 or Class Counsel (866) 809-8003